Release与elex release介绍

Release in international trade usually refers to the process of customs clearance, inspection clearance, or port clearance. However, today we will introduce Telex Release, which is a way of notifying the discharge port to release the cargo to the consignee or the party designated by the shipper via electric transmission. A Telex Release is used when the shipper requests that the original Bill of Lading not be printed, as it provides a faster and more efficient way of transferring the goods.

However, because the Telex Release skips the traditional Bill of Lading process, there are many risks involved. Nonetheless, sometimes, operations require Telex Release, and in such cases, risk management is crucial.

Risk management measures for Telex Release of Bill of Lading:

1. Before signing the contract, the product exporter should learn about the importers' qualifications, creditworthiness, financial status, company size, and other information, which can serve as a reference for deciding whether to use Telex Release or not.
2. In actual business operations, combine Telex Release and Telegraphic Transfer (T/T) settlement methods. This can significantly reduce the risks. Under a letter of credit settlement method, if the goods arrive before the documents, and the consignee wants to take the goods first, then the consignee can use bank guarantee to take the delivery using Telex Release.
3. When signing the transportation contract, try to use CIF or CFR terms (this is an effort to avoid risks), with the exporter arranging for ships and booking. When using a freight forwarder's bill of lading, the exporter should select a reputable domestic enterprise with strong operational norms.
4. If the above three measures are not feasible, an ocean transport document may be used instead, which can effectively avoid the risk of payment loss caused by the Telex Release of the Bill of Lading.